Oireachtas Joint and Select Committees

Tuesday, 8 December 2020

Joint Oireachtas Committee on the Implementation of the Good Friday Agreement

The Northern Ireland Economy: Discussion

Professor Edgar Morgenroth:

On the issue of Brexit, the Deputy is right and he recalls it very well. On the southern side of the Border, Cavan-Monaghan is particularly vulnerable to a no-trade-deal Brexit. In fact, I have just redone the analysis and have reconfirmed it using the UK tariff schedule. Likewise, north of the Border, the weaker regions would be most susceptible, and that is something that researchers throughout the UK have found. The least developed regions would experience the worst effects from Brexit in a no trade deal situation. It would compound the already poor industrial structure and the performance of the economy in those areas. In that sense, this could be tackled through a focus on education, training, skills, infrastructure to a lesser extent, and also a shift in some sectors, because ultimately the Brexit effect will be a sectoral effect. The agri-food sector in particular would be the hardest hit if no trade deal were done, and presumably we will find out if that is going to be the case this week. If there were to be no-deal, a shift away from those sectors would be something that could be done to lessen the blow, and that is not easily done without a skilled workforce.